TC PipeLines
TC PipeLines, LP acquires, owns, and participates in the management of energy infrastructure businesses in North America. The last earnings update was 56 days ago. More info.
Add to Portfolio Compare Print
- TC PipeLines is a fund or ETF! Currently our data availability for these is poor, we only recommend using them as part of a portfolio.
TCP Share Price and Events
7 Day Returns
1 Year Returns
TCP Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| TC PipeLines (TCP) | -5.3% | -4.3% | 6.6% | 2.9% | -36.8% | -32% |
| US Oil and Gas | 0.5% | 2.6% | 7.7% | -5.8% | 5.3% | -27.4% |
| US Market | 0.8% | 2.6% | 10.6% | 5.9% | 37.7% | 45.5% |
1 Year Return vs Industry and Market
- TCP outperformed the Oil and Gas industry which returned -5.8% over the past year.
- TCP underperformed the Market in United States of America which returned 5.9% over the past year.
Value
Is TC PipeLines undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
TC PipeLines
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for TC PipeLines.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 5 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 10.9% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Oil and Gas Unlevered Beta | Simply Wall St/ S&P Global | 0.93 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.932 (1 + (1- 21%) (84.46%)) |
1.371 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.37 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.371 * 5.96%) |
10.9% |
Discounted Cash Flow Calculation for NYSE:TCP using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for TC PipeLines is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 10.9%) |
|
|---|---|---|---|
| 2019 | 552.34 | Est @ 10.36% | 498.04 |
| 2020 | 596.90 | Est @ 8.07% | 485.33 |
| 2021 | 635.51 | Est @ 6.47% | 465.92 |
| 2022 | 669.48 | Est @ 5.35% | 442.58 |
| 2023 | 700.02 | Est @ 4.56% | 417.28 |
| 2024 | 728.10 | Est @ 4.01% | 391.36 |
| 2025 | 754.51 | Est @ 3.63% | 365.69 |
| 2026 | 779.85 | Est @ 3.36% | 340.82 |
| 2027 | 804.57 | Est @ 3.17% | 317.06 |
| 2028 | 829.01 | Est @ 3.04% | 294.58 |
| Present value of next 10 years cash flows | $4,018.67 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $829.01 × (1 + 2.73%) ÷ (10.9% – 2.73%) |
$10,422.61 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $10,422.61 ÷ (1 + 10.9%)10 |
$3,703.54 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $4,018.67 + $3,703.54 |
$7,722.21 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $7,722.21 / 71.31 |
$108.3 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $108.30 |
| Current discount | Discount to share price of
$35.00
= -1 x ($35.00 - $108.30) / $108.30 |
67.7% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- TC PipeLines's share price is below the future cash flow value, and at a moderate discount (> 20%).
- TC PipeLines's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for TC PipeLines's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
TC PipeLines's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in USD | $-2.68 |
| NYSE:TCP Share Price ** | NYSE (2019-04-18) in USD | $35 |
| United States of America Oil and Gas Industry PE Ratio | Median Figure of 107 Publicly-Listed Oil and Gas Companies | 12.27x |
| United States of America Market PE Ratio | Median Figure of 3,078 Publicly-Listed Companies | 18.23x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of TC PipeLines.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:TCP Share Price ÷ EPS (both in USD) = 35 ÷ -2.68 |
-13.07x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- TC PipeLines is loss making, we can't compare its value to the US Oil and Gas industry average.
- TC PipeLines is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does
TC PipeLines's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | -13.07x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts |
100.8%per year |
| United States of America Oil and Gas Industry PEG Ratio | Median Figure of 76 Publicly-Listed Oil and Gas Companies | 0.59x |
| United States of America Market PEG Ratio | Median Figure of 2,108 Publicly-Listed Companies | 1.56x |
*Line of best fit is calculated by linear regression .
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to calculate PEG ratio for TC PipeLines, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
TC PipeLines's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in USD | $8.11 |
| NYSE:TCP Share Price * | NYSE (2019-04-18) in USD | $35 |
| United States of America Oil and Gas Industry PB Ratio | Median Figure of 191 Publicly-Listed Oil and Gas Companies | 1.15x |
| United States of America Market PB Ratio | Median Figure of 5,172 Publicly-Listed Companies | 1.93x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:TCP Share Price ÷ Book Value per Share (both in USD) = 35 ÷ 8.11 |
4.32x |
* Primary Listing of TC PipeLines.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- TC PipeLines is overvalued based on assets compared to the US Oil and Gas industry average.
Value checks
We assess TC PipeLines's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check) TC PipeLines has a total score of 2/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
Future Performance
How is TC PipeLines expected to perform in the next 1 to 3 years based on estimates from 5 analysts?
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- TC PipeLines's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- TC PipeLines's earnings growth is expected to exceed the United States of America market average.
- TC PipeLines's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:TCP Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts | 100.8% |
| NYSE:TCP Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts | -12.5% |
| United States of America Oil and Gas Industry Earnings Growth Rate | Market Cap Weighted Average | 11% |
| United States of America Oil and Gas Industry Revenue Growth Rate | Market Cap Weighted Average | 6.1% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.3% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 5 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | ||||
| 2022-12-31 | ||||
| 2021-12-31 | ||||
| 2020-12-31 | 556 | 360 | 269 | 3 |
| 2019-12-31 | 553 | 347 | 263 | 3 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 722 | 540 | -191 |
| 2018-09-30 | 603 | 419 | 277 |
| 2018-06-30 | 594 | 394 | 263 |
| 2018-03-31 | 572 | 386 | 241 |
| 2017-12-31 | 546 | 376 | 219 |
| 2017-09-30 | 533 | 396 | 211 |
| 2017-06-30 | 531 | 387 | 212 |
| 2017-03-31 | 527 | 424 | 212 |
| 2016-12-31 | 523 | 417 | 211 |
| 2016-09-30 | 513 | 422 | 19 |
| 2016-06-30 | 488 | 403 | 21 |
| 2016-03-31 | 467 | 332 | 13 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 5 Analyst Estimates (S&P Global) | See Below |
All data from TC PipeLines Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | ||||
| 2022-12-31 | ||||
| 2021-12-31 | ||||
| 2020-12-31 | 3.65 | 3.79 | 3.45 | 4.00 |
| 2019-12-31 | 3.55 | 3.79 | 3.40 | 4.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2018-12-31 | -2.68 |
| 2018-09-30 | 3.90 |
| 2018-06-30 | 3.73 |
| 2018-03-31 | 3.45 |
| 2017-12-31 | 3.16 |
| 2017-09-30 | 3.08 |
| 2017-06-30 | 3.14 |
| 2017-03-31 | 3.18 |
| 2016-12-31 | 3.21 |
| 2016-09-30 | 0.29 |
| 2016-06-30 | 0.33 |
| 2016-03-31 | 0.20 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess TC PipeLines's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
TC PipeLines has a total score of 4/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
Past Performance
How has TC PipeLines performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- TC PipeLines does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
- Unable to compare TC PipeLines's 1-year earnings growth to the 5-year average as it is not currently profitable.
- Unable to compare TC PipeLines's 1-year growth to the US Oil and Gas industry average as it is not currently profitable.
Earnings and Revenue History
All data from TC PipeLines Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 722.00 | -191.00 | 6.00 | |
| 2018-09-30 | 603.00 | 277.00 | 6.00 | |
| 2018-06-30 | 594.00 | 263.00 | 6.00 | |
| 2018-03-31 | 572.00 | 241.00 | 7.00 | |
| 2017-12-31 | 546.00 | 219.00 | 8.00 | |
| 2017-09-30 | 533.00 | 211.00 | 8.00 | |
| 2017-06-30 | 531.00 | 212.00 | 7.00 | |
| 2017-03-31 | 527.00 | 212.00 | 7.00 | |
| 2016-12-31 | 523.00 | 211.00 | 7.00 | |
| 2016-09-30 | 513.00 | 19.00 | 9.00 | |
| 2016-06-30 | 488.00 | 21.00 | 9.00 | |
| 2016-03-31 | 467.00 | 13.00 | 8.00 | |
| 2015-12-31 | 514.00 | -2.00 | 9.00 | |
| 2015-09-30 | 427.00 | 189.00 | 6.00 | |
| 2015-06-30 | 422.00 | 174.00 | 10.00 | |
| 2015-03-31 | 422.00 | 168.00 | 10.00 | |
| 2014-12-31 | 424.00 | 168.00 | 9.00 | |
| 2014-09-30 | 422.00 | 162.00 | 9.00 | |
| 2014-06-30 | 427.00 | 167.00 | 6.00 | |
| 2014-03-31 | 424.00 | 154.00 | 9.00 | |
| 2013-12-31 | 408.00 | 126.00 | 9.00 | |
| 2013-09-30 | 410.00 | 75.00 | 9.00 | |
| 2013-06-30 | 418.00 | 87.00 | 8.00 | |
| 2013-03-31 | 492.00 | 124.00 | 6.00 | |
| 2012-12-31 | 442.00 | 134.00 | 6.00 | |
| 2012-09-30 | 388.00 | 182.00 | 6.00 | |
| 2012-06-30 | 338.00 | 176.00 | 6.00 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- It is difficult to establish if TC PipeLines has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
- It is difficult to establish if TC PipeLines has efficiently used its assets last year compared to the US Oil and Gas industry average (Return on Assets) as it is loss-making.
- It is difficult to establish if TC PipeLines improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
Past performance checks
We assess TC PipeLines's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
TC PipeLines has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
Health
How is TC PipeLines's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up TC PipeLines's finances.
The net worth of a company is the difference between its assets and liabilities.
- TC PipeLines is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- TC PipeLines's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from TC PipeLines Company Filings, last reported 3 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 699.00 | 2,108.00 | 33.00 |
| 2018-09-30 | 1,166.00 | 2,247.00 | 48.00 |
| 2018-06-30 | 1,155.00 | 2,308.00 | 51.00 |
| 2018-03-31 | 1,124.00 | 2,377.00 | 68.00 |
| 2017-12-31 | 1,068.00 | 2,403.00 | 33.00 |
| 2017-09-30 | 1,018.00 | 2,478.00 | 73.00 |
| 2017-06-30 | 1,015.00 | 2,390.00 | 51.00 |
| 2017-03-31 | 1,222.00 | 1,809.00 | 60.00 |
| 2016-12-31 | 1,272.00 | 1,911.00 | 64.00 |
| 2016-09-30 | 1,101.00 | 1,923.00 | 72.00 |
| 2016-06-30 | 1,071.00 | 1,953.00 | 40.00 |
| 2016-03-31 | 1,096.00 | 2,073.00 | 48.00 |
| 2015-12-31 | 1,151.00 | 1,903.00 | 39.00 |
| 2015-09-30 | 1,327.00 | 1,904.00 | 28.00 |
| 2015-06-30 | 1,338.00 | 1,914.00 | 44.00 |
| 2015-03-31 | 1,589.00 | 2,034.00 | 384.00 |
| 2014-12-31 | 1,586.00 | 1,695.00 | 26.00 |
| 2014-09-30 | 1,813.00 | 1,533.00 | 98.00 |
| 2014-06-30 | 1,768.00 | 1,563.00 | 45.00 |
| 2014-03-31 | 1,791.00 | 1,568.00 | 41.00 |
| 2013-12-31 | 1,789.00 | 1,578.00 | 25.00 |
| 2013-09-30 | 1,829.00 | 1,552.00 | 4.00 |
| 2013-06-30 | 1,649.00 | 376.00 | 67.00 |
| 2013-03-31 | 1,287.00 | 685.00 | 2.00 |
| 2012-12-31 | 2,422.00 | 1,028.00 | 3.00 |
| 2012-09-30 | 1,313.00 | 692.00 | 7.00 |
| 2012-06-30 | 1,321.00 | 700.00 | 6.00 |
- TC PipeLines's level of debt (301.6%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (88.2% vs 301.6% today).
- Debt is well covered by operating cash flow (25.6%, greater than 20% of total debt).
- TC PipeLines is making a loss, therefore interest payments are not well covered by earnings.
Financial health checks
We assess TC PipeLines's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) TC PipeLines has a total score of 2/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
Dividends
What is TC PipeLines's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
TC PipeLines
shares you are expected to receive
$149
in your first year as a dividend.
Dividend Amount
- TC PipeLines's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.4%).
- TC PipeLines's dividend is above the markets top 25% of dividend payers in United States of America (3.63%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 5 Analyst Estimates (S&P Global) | See Below |
| United States of America Oil and Gas Industry Average Dividend Yield | Market Cap Weighted Average of 65 Stocks | 3.4% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2009 Stocks | 2.4% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.6% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | 2.68 | 2.00 |
| 2022-12-31 | 2.66 | 2.00 |
| 2021-12-31 | 2.62 | 5.00 |
| 2020-12-31 | 2.65 | 9.00 |
| 2019-12-31 | 2.60 | 7.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-01-22 | 2.600 | 7.603 |
| 2018-10-23 | 2.600 | 8.422 |
| 2018-07-26 | 2.600 | 8.104 |
| 2018-05-02 | 2.600 | 9.996 |
| 2018-01-23 | 4.000 | 9.776 |
| 2017-10-24 | 4.000 | 7.579 |
| 2017-08-03 | 4.000 | 7.636 |
| 2017-08-02 | 4.000 | 7.111 |
| 2017-04-25 | 3.760 | 6.637 |
| 2017-01-23 | 3.760 | 6.227 |
| 2016-11-04 | 3.760 | 6.938 |
| 2016-08-04 | 3.760 | 6.944 |
| 2016-05-04 | 3.560 | 6.476 |
| 2016-02-26 | 3.560 | 7.028 |
| 2016-02-25 | 3.560 | 8.150 |
| 2015-11-06 | 3.560 | 7.920 |
| 2015-07-24 | 3.560 | 6.766 |
| 2015-04-23 | 3.360 | 5.440 |
| 2015-02-25 | 3.360 | 5.299 |
| 2014-10-24 | 3.360 | 4.892 |
| 2014-07-24 | 3.360 | 5.718 |
| 2014-04-28 | 3.240 | 6.287 |
| 2014-01-17 | 3.240 | 6.785 |
| 2013-10-25 | 3.240 | 6.850 |
| 2013-07-24 | 3.240 | 6.578 |
| 2013-04-24 | 3.120 | 6.730 |
| 2013-02-28 | 3.120 | 6.491 |
| 2013-02-08 | 3.120 | 6.885 |
| 2012-10-26 | 3.120 | 7.494 |
| 2012-07-25 | 3.120 | 6.793 |
| 2012-04-24 | 3.080 | 7.326 |
| 2012-01-17 | 3.080 | 6.751 |
| 2011-10-20 | 3.080 | 6.577 |
| 2011-07-19 | 3.080 | 6.971 |
| 2011-04-19 | 3.000 | 6.387 |
| 2011-01-18 | 3.000 | 5.751 |
| 2010-10-20 | 3.000 | 6.140 |
| 2010-07-20 | 2.920 | 6.607 |
| 2010-04-20 | 2.920 | 7.526 |
| 2010-01-20 | 2.920 | 7.814 |
| 2009-10-22 | 2.920 | 7.787 |
| 2009-07-30 | 2.920 | 7.775 |
| 2009-04-20 | 2.820 | 8.344 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
- Dividends per share have fallen over the past 10 years.
Income/ dividend checks
We assess TC PipeLines's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can TC PipeLines afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) TC PipeLines has a total score of 3/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | $0 |
| AGE | 41 |
| TENURE AS CEO | 0.9 years |
CEO Bio
Mr. Nathaniel Alan Brown, also known as Nathan, is President, Principal Executive Officer and Director at TC Pipelines GP, Inc. and TC PipeLines LP since May 01, 2018 respectively. He serves as Controller of Crossroads Pipeline Company and Tuscarora Gas Transmission Co. He serves as Vice President of Financial Services - US Natural Gas at ANR Storage Co. and ANR Pipeline Co. He serves as Controller at Great Lakes Gas Transmission. He serves as Principal Financial Officer and Controller of CPG OpCo GP LLC at CPG OpCo LP. Mr. Brown has been Principal Financial Officer of CPP GP LLC - General Partner and Controller of CPP GP LLC - General Partner at Columbia Pipeline Partners LP since July 01, 2016. He has been Controller of U.S. Natural Gas Pipelines at TransCanada Corporation since November 01, 2009 and is responsible for the accounting of TransCanada’s U.S. natural gas pipelines. Mr. Brown was Principal Financial Officer and Controller of TC Pipelines GP Inc., a General Partner of TC PipeLines, LP from May 01, 2014 to May 01, 2018. He serves as Controller at North Baja Pipeline, LLC. He served as an Accounting Manager of TransCanada’s U.S. natural gas pipelines since joining TransCanada in 2009 from the accounting firm of Grant Thornton LLP. Mr. Brown spent eight years in public accounting, most recently as an audit Manager for Grant Thornton LLP and Ernst &Young. Mr. Brown holds Bachelor’s Degree in Accounting from Texas A&M University and holds Master of Science in Accounting from Texas A&M University from 1995 to 2001. He is a Certified Public Accountant.
CEO Compensation
- Insufficient data for Nathan to compare compensation growth.
- Nathan's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the TC PipeLines management team in years:
- The average tenure for the TC PipeLines management team is less than 2 years, this suggests a new team.
Management Team
Nathan Brown
President
41
0.9 yrs
Chuck Morris
VP, Principal Financial Officer & Treasurer
55
1.2 yrs
Jon Dobson
Secretary of TC Pipelines GP Inc
51
4.9 yrs
Rhonda Amundson
Manager
$118K
56
Board of Directors Tenure
Average tenure and age of the TC PipeLines board of directors in years:
- The average tenure for the TC PipeLines board of directors is less than 3 years, this suggests a new board.
Board of Directors
Stan Chapman
Chairman of TC PipeLines GP
52
0.3 yrs
Nathan Brown
President
41
0.9 yrs
Malyn Malquist
Independent Director of TC PipeLines GP
$169K
65
8 yrs
Jack Jenkins-Stark
Lead Director of TC PipeLines GP
$169K
67
Val Mirosh
Independent Director of TC PipeLines GP
$154K
72
14.6 yrs
Sean Brett
Director of TC PipeLines GP Inc
52
0.9 yrs
Nadine Berge
Director of TC PipeLines GP Inc
45
0.9 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
Management checks
We assess TC PipeLines's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) TC PipeLines has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
News
Simply Wall St News
Is TC PipeLines LP (NYSE:TCP) Attractive At Its Current PE Ratio?
This analysis is intended to introduce important early concepts to people who are starting to invest. … While TCP might seem like an attractive stock to buy, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions. … I will deconstruct the P/E ratio and highlight what you need to be careful of when using the P/E ratio
Simply Wall St - – Full articleCan TC PipeLines LP's (NYSE:TCP) ROE Continue To Surpass The Industry Average?
The content of this article will benefit those of you who are starting to educate yourself about investing in the stock market. … If TCP borrows debt to invest in its business, its profits will be higher. … But ROE does not capture any debt, so we only see high profits and low equity, which is great on the surface
Simply Wall St - – Full articleWhy TC PipeLines LP (NYSE:TCP) Should Have A Place In Your Portfolio
TC PipeLines LP (NYSE:TCP) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … In the case of TCP, it
Simply Wall St - – Full articleWith An ROE Of 25.09%, Has TC PipeLines LP's (NYSE:TCP) Management Done Well?
Return on Equity = Net Profit ÷ Shareholders Equity ROE is measured against cost of equity in order to determine the efficiency of TC PipeLines’s equity capital deployed. … ROE can be dissected into three distinct ratios: net profit margin, asset turnover, and financial leverage. … This is called the Dupont Formula: Dupont Formula ROE = profit margin × asset turnover × financial leverage ROE = (annual net profit ÷ sales) × (sales ÷ assets) × (assets ÷ shareholders’ equity) ROE = annual net profit ÷ shareholders’ equity NYSE:TCP Last Perf Jun 1st 18 Essentially, profit margin shows how much money the company makes after paying for all its expenses.
Simply Wall St - – Full articleHow Financially Strong Is TC PipeLines LP (NYSE:TCP)?
Additionally, TCP has generated US$376.00M in operating cash flow in the last twelve months, leading to an operating cash to total debt ratio of 15.65%, signalling that TCP’s operating cash is not sufficient to cover its debt. … We can check to see whether TCP is able to meet its debt obligations by looking at the net interest coverage ratio. … In TCP's, case, the ratio of 4.17x suggests that interest is appropriately covered, which means that lenders may be inclined to lend more money to the company, as it is seen as safe in terms of payback.Next Steps: TCP’s high debt levels is not met with high cash flow coverage.
Simply Wall St - – Full articleTC PipeLines LP's (NYSE:TCP) Poor Growth Outlook Brings Concerns
A consensus of 6 US oil, gas and consumable fuels analysts covering the stock indicates that its revenue level is expected to decline by -5.44% by 2020, putting pressure on expected future earnings, with its year-on-year growth rate estimated to underperform the industry average growth (1.61% vs. … When revenues are declining and earnings growth are lagging the industry, there is high uncertainty around the sustainability of its current operations. … With 71.31 million shares, that's a US$1.84B market cap - which is too low for a company that has a 5-year free cash flow cumulative average growth rate (CAGR) of 7.46% (source: analyst consensus).
Simply Wall St - – Full articleTC PipeLines LP (NYSE:TCP): Can Growth Justify Its May Share Price?
TC PipeLines is available at a price-to-earnings ratio of 11.23x, showing us it is undervalued relative to the current US market average of 18.27x , and undervalued based on its latest annual earnings update compared to the oil and gas average of 13.31x. … However, since TC PipeLines is a high-growth stock, we must also account for its earnings growth by using calculation called the PEG ratio. … A PE ratio of 11.23x and expected year-on-year earnings growth of 10.24% give TC PipeLines an acceptable PEG ratio of 1.1x.
Simply Wall St - – Full articleShould You Be Tempted To Buy TC PipeLines LP (NYSE:TCP) Because Of Its PE Ratio?
TC PipeLines LP (NYSE:TCP) trades with a trailing P/E of 9.7x, which is lower than the industry average of 12.5x. … Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for TCP Price per share = $30.81 Earnings per share = $3.165 ∴ Price-Earnings Ratio = $30.81 ÷ $3.165 = 9.7x The P/E ratio itself doesn’t tell you a lot; however, it becomes very insightful when you compare it with other similar companies. … Since TCP's P/E of 9.7x is lower than its industry peers (12.5x), it means that investors are paying less than they should for each dollar of TCP's earnings.
Simply Wall St - – Full articleTC PipeLines LP (NYSE:TCP): Are Analysts Bullish?
Below is my commentary, albeit very simple and high-level, on how market analysts predict TC PipeLines's earnings growth outlook over the next couple of years and whether the future looks even brighter than the past. … The growth outlook in the following year seems much more buoyant with rates reaching double digit 17.60% compared to today’s earnings, and finally hitting US$311.85M by 2021. … NYSE:TCP Future Profit Mar 30th 18 Even though it’s useful to be aware of the rate of growth year by year relative to today’s value, it may be more valuable to gauge the rate at which the earnings are rising or falling on average every year.
Simply Wall St - – Full articleWant To Invest In TC PipeLines LP (NYSE:TCP)? Here's How It Performed Lately
Below, I will run you through a simple sense check to build perspective on how TC PipeLines is doing by comparing its most recent earnings with its historical trend, in addition to the performance of its oil and gas industry peers. … Check out our latest analysis for TC PipeLines How TCP fared against its long-term earnings performance and its industry I prefer to use the ‘latest twelve-month’ data, which either annualizes the most recent 6-month earnings update, or in some cases, the most recent annual report is already the latest available financial data. … This means that, in the recent industry expansion, TC PipeLines has not been able to realize the gains unlike its industry peers.What does this mean?
Simply Wall St - – Full articleCompany Info
Description
TC PipeLines, LP acquires, owns, and participates in the management of energy infrastructure businesses in North America. The company has interests in eight natural gas interstate pipeline systems that transport approximately 10.8 billion cubic feet per day of natural gas from producing regions and import facilities to market hubs and consuming markets primarily in the Western, Midwestern, and Eastern United States. It serves large utilities, local distribution companies, natural gas marketers, producing companies, and other interstate pipelines, including affiliates. TC PipeLines GP, Inc. operates as a general partner of the company. TC PipeLines, LP was founded in 1998 and is based in Houston, Texas.
Details
| Name: | TC PipeLines, LP |
| TCP | |
| Exchange: | NYSE |
| Founded: | 1998 |
| $2,495,723,860 | |
| 71,306,396 | |
| Website: | http://www.tcpipelineslp.com |
| Address: |
TC PipeLines, LP 700 Louisiana Street, Suite 700, Houston, Texas, 77002, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | TCP | Common Units | New York Stock Exchange | US | USD | 25. May 1999 | |
| DB | TC0 | Common Units | Deutsche Boerse AG | DE | EUR | 25. May 1999 |
Number of employees
Current staff
Industry
| Oil and Gas Storage and Transportation | |
| Energy |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/18 23:42 |
| End of day share price update: | 2019/04/18 00:00 |
| Last estimates confirmation: | 2019/04/18 |
| Last earnings filing: | 2019/02/21 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
